New Study Examines Total Cost of Ultrasound Ownership

Retroactive data study finds nearly one-quarter of hospitals will spend 50 percent more than the average contract cost; 10 percent spend twice the average

February 1, 2016 — Alpha Source, a Milwaukee-based provider of healthcare technology management solutions, announced the publication of a retroactive data study on the total cost of ownership of ultrasound imaging equipment. This study, based on the real-time experience of 673 ultrasound units in clinical use in U.S. hospitals and clinics, is one of the few evidence-based analyses available to guide the healthcare technology management (HTM) community in fact-based decision making around supporting medical equipment.

The report entitled "Economic Value Analysis (EVA) on the Total Cost of Ownership of GE Healthcare Logiq 9 Ultrasound Imaging Equipment" is an evidence-based approach to considering the economic benefits and risks of comprehensive service contracts compared to billable hourly service and in-house biomed resources. The study tracks the service history of a large, nationwide installed base of this specific type of ultrasound equipment over the three-year time period of 2010-2014. The equipment was serviced either by the OEM or Alpha Source, a service provider for certain types of ultrasound equipment.

The study shows that the range of service and parts expenditures from unit to unit is wide. Although the average total annual spend across all units was $9,800 per year, the high end of the range is over 5 times (5X) the average. Furthermore, a significant number of hospitals (23 percent) will spend 50 percent more than the average cost of a contract, and 10 percent will spend twice the average annual price of a service contract by purchasing hourly billable service (T&M) and parts.